ENEMS MICROSYSTEMS RESEARCH SPOT: 2023 at 10:12AM

THE IMPACTS OF GOVERNMENT PARTICIPATION IN THE DEVELOPMENT OF SMALL AND MEDIUM SCALE BUSINESS IN OUR SOCIETY

(A case study of National Directorate of Employment Benue State)

ABSTRACT

This project title “The Impact of Government Participation in the Development of Small and Medium Scale Business in Nigeria” (a case study of National Directorate of Employment Benue State) is geared towards the evaluation of the role of government in the development of small and medium scale business, it views the difficulties involved in carrying out such task. This project is divided into five chapters, the first chapter comprise of introduction and Statement of problem. The second chapter comprises the concept of small and medium scale business, Impact of government policies in the promotion of small scale industries, The procedure and guideline for granting loans under small scale industries, Problems associated with small business operation in Nigeria, Motive for establishing small scale enterprises. The third chapter comprise of how the data is collected and the sample size. The fourth chapter comprises of data presentation and analysis and test of hypothesis. The final chapter is the conclusion of the study. Also appropriate recommendations were made as to how government participate in the development of small and medium scale business in Nigeria. This is an intellectual work and like all other intellectual work did not draw a final conclusion.

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Nigeria is agrarian society with play culture economy dominated by foreign investors. The British colonial administration for it imperia convinces encourages external dominance and internal exploitation from colonialism to political independence. Government policies have strongly support and fostered the development and growth of small business operation.

A good measure of government assistance have taken the form of interest for or low interest soft loans, provision of infrastructure intensions services, than holdings and various form of granted and incentives to the small business industry.

The provision of financial facilities by government began as far back as 1954 with the establishment of the Nigeria development loans to the entrepreneurial. The board later decentralized and emerged as regional development bank.

In the 1974 the federal government established a small scale industry credit scheme in all the state of the federal and through this channel direct business operation and the scheme remained in existence until 1930. Also the second tier credit scheme programme was overseen through the ministry of commerce and industry while the federal government scheme programme was administered by the Nigerian bank for commerce and industry in 1981 performance.

The worldwide web economic depression of the early 80’sand 2008 caused a rapid deterioration in Nigeria economy. Industry output shrink to an all-time low and commercial activities were consequentially reduced leading to the loss of employment opportunities. The following are some of the problems facing small scale business today.

1.2 STATEMENT OF THE PROBLEM

i. Inadequate capital to start small business.

ii. Inadequate infrastructural facilities to support small scale sector.

Restricted market for product of small scale business.
Week input in terms of low materials machineries tool and labor.
Managerial problem due to literacy among entrepreneur.
Depth of technological law among small scale business managers.
Social-cultural and political factors inducing lack of small business ideology.

OBJECTIVES OF THE STUDY

The main objective of the study is to examine the impact of government participation in the development of small scale business in Nigeria.

Other objectives of the study include:

To examine the relevance of small scale business to both private sector and public sector.
1. To examine theoretically and carefully stages involved in establishing small scale business.
1. To examine the basic characteristic of small scale business.
1. To make recommendation for improving overall performance of small scale business.
1. To appraise the constraints facing small scale business in guide line of the commercial and merchant bank which stipulated that 16 percent of all lending should be extended to the small scale industries sub sector.

1.4 SIGNIFICANCE OF THE STUDY

This project report is very useful for industrialist engaging in (SMES) small and medium scale enterprise, also to government and prospective investors in small scale business etc. the write up will serve as a useful source of information and guideline to the above mentioned stakeholders and to the national directorate of employment in generating employment for small scale industries. Other significance of the study may include:

To enlighten small scale business owners on opportunities provided for them by government.
To educate foreigners or citizens wishing to invest in small scale industries on how feasible such could be.
To enable the three tiers of government to be aware of implementation; leastwise will as a loopholes in the execution of participation in small scale industries development in Nigeria.
Financial constraints, as a student, finance are always a constraint considering the fact that the researcher has to expand on transport fares from one point in search of information.

1.5 RESEARCH QUESTIONS

In the cause of this research work there are questions the researcher may not want to ask. They include:

Does small and medium scale enterprise determine their capital requirement before starting up?
Does government participation in small scale industries affected the business positively?
Is government providing enough infrastructures to support small and medium enterprise?
What is the entrepreneur’s level of education to be able to effectively manage a business enterprise?
Does the government provide conducive environment for small scale business to thrive?

1.6 RESEARCH HYPOTHESIS

Hypothesis are research tentative of assumption for solving a particular problem it is a proposal statement of fact that are yet to be treated for confirmation. They shall be classified into two forms. That is (H_o) and alternative (H_i) hypothesis the hypothesis shall be validated depending on the result of the field work to be carried out in the course of the research.

H_o: The impact of government participation in the development of small-scale business has contributed positively to the development of small scale business Nigeria.

1.7 SCOPE OF THE STUDY

The study is restricted to the impact of government participation in the development of small scale business using Benue state directorate of employment as a case study. This ministry is charged with the responsibility of formulating government industry policy and objectives with appropriate strategies.

1.8 LIMITATION OF THE STUDY

This study has been limited to Benue National directorate of employment (NDE) due to limited time and financial constraints in the course of writing the research work, the researcher is limited by the following factors.

Time Factor: the available time given for this research work stands as one of the limiting factor of the study considering the press attached to academies.
Financial constraints: As a student, finance is always has to spend on transport fares forms one point in search of information.

1.9 DEFINITION OF TERMS

i. Entrepreneur: A person who organizes and manages a commercial undertaking

ii. Working Capital: This is excess of current liabilities, it is calculated as current asset minus current liabilities.

iii. Cash flow: It is concerned with the cash phase of from cash asset such as plant equipment and inventory to receivable and cash bank.

Thursday, 9 March 2023

THE IMPACTS OF GOVERNMENT PARTICIPATION IN THE DEVELOPMENT OF SMALL AND MEDIUM SCALE BUSINESS IN OUR SOCIETY

THE IMPACTS OF GOVERNMENT PARTICIPATION IN THE DEVELOPMENT OF SMALL AND MEDIUM SCALE BUSINESS IN OUR SOCIETY